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Pablo López

on 16 October 2013

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Value Proposition

A leading position in the pharmaceutical industry -  a world leader in vaccines, biologicals and in small molecules

Many investment in R & D and innovative partnerships to research and deliver the best treatments

Premium brands, as Frontline, #1 Animal Health Brand

« Local Champions », as Doliprane #1 in France or Dorflex #1 in Brazil in (Consumer Healthcare)

Taking into account local needs

Regional strategy and pricing
Communication through Medical Institutions : hospitals, pharmacies, health personnel (doctors)

Communication through a website sanofi.com and social media as Facebook, Twitter, iPhone and iPad app, YouTube Channels as “”Get Blood Sugar Control » - a diabetes social media initiative 

Sanofi has also develop a wide network of industrial sites. Indeed, Sanofi has 42 industrial sites accros emerging market

Commercial presence in the world

Multiple acquisitions and parternships

Customer Relationships

Innovation with the Doctors:
Conference calls and Interactive learning sessions.

Destinated to all their clients worldwide, it helps Sanofi to defend a healthcare and public utility image.

Customer relationship is externalized:
Cegedim is the company that help Sanofi is its custimer relationship strategy. They use the OneKey: the best healthcare professionnals database on the market.

Customer Segments


Health professionals: doctors, hospitals, pharmaceutical customer.
Offer training and services: Sanofi assists health professionals throughout their careers and
in the evolution of their profession

General public: self medication (one of the growth platforms for Sanofi)

Veterinarians, farmers and pet owners

Universities and students (through training)

Worldwide connected network of selected partner


Patients around the world

Present in 100 countries and its products are distributed in more than 170 countries

Sanofi is recognized in Emerging Markets, with excellent positions in major countries leader

Key Partners
Cost Structure
Key Resources
Revenue Streams
Key Activities

Asset Sales type of revenue
Sanofi provides innovatives products and communication related to those new medicines. The company contributes to the medicines promotion by the States.

Worldwide Net Turnover Shares : US: 31% - Western Europe: 24%.
Emerging Markets: 32%.

Major Revenue Streams & Dyanmics Growth Platforms (2009)
Diabetes brands: €3,774 m (+19,4%) One of the major revenue streams and still growing.
Vaccines: €3,483 m (+19,2%), Sanofi pasteur, R&D concentrated sector.
Consumer healthcare: €1,430m (+26,8%).
Generics Medicines: €1,012m (+198%), very fast growth. Promising market due to the crisis and the search for cost reduction.
Emerging markets: €7,356 (+19%), the last turnover share but it’s expected to grow very fast in the next few years. So Sanofi is focusing its investments there.
Animal Health: 2,554m (0,4%), expected to grow slower than the other revenue streams.

Intellectual resources
Licenses, patents, industrial properties (owned or leased by Sanofi)

Human resources

Local implantations worldwide (laboratories, agences, local manufacturing in emerging markets …)
Acquisitions of firms worldwide (in the same sector, in other sector, r&d firm and so on)

Strong financial resources
Good financial results
It allows Sanofi to have an aggresive acquisition strategy

To develop products and licensing
Scientists and developers all around the world through Medical institutes such as Salk
French National Alliance for Life Sciences and Health (Aviesan)
Companies focus on development and licensing of pharmaceutical products such as Apolexx
Universities & various academic collaboration
Research centers (R&D institutes) & Medical centers
Institutes of science / technology
research and development companies in health field
biopharmaceutical companies
Pharmaceutical companies
Healthy foundation

To communicate via sponsoring, co promotion and co marketing
Sanofi is a sponsor of sport teams
The pharmacists: to valorise sanofi’s brands in safe medication

To sell : commercialization agreement in specific regions
Commercial agents

Global health group is engaged in research, development, manufacture and marketing of healthcare products. The main activities according their importance and their turnover are:
Pharmaceuticals (prescription drugs, consumer health, general medicine): aging diabetes, rare diseases, oncology and other important products in the prevention of thrombosis, cardiovascular disease, nephrology and biosurgery.
Vaccines (Sanofi Pasteur, the vaccines division of the Group, is a world leader in the vaccine industry with a wide range protecting against 20 serious diseases)
Animal health (business conducted via Merial who is one of the first companies of animal health products in the world)

Main activities:
R&D to prevent, treat and cure disease. Constant innovation is very important in order to attain his goal: answer to the real needs of patients and provide them appropriate therapeutic solutions
Clinical Development
Marketing & Distribution

Creating value through partnerships

Availability and performance of drugs

Rare Diseases Multiple Sclerosis (Genzyme key innovations for the lives of patients)
Providing solutions for patients with rare and debilitating diseases for which no treatment exists: this is the axis founder of Genzyme.

An industrial network: creating value

R&D is NOT the main cost item (4.5Bn$):
They try to optimise their ressources allocation in order to maximize the R&D return on investment

Partnerships and Acquisitions:
In 2009, 24Bn$ invested for 26 new transactions (8 acquisitions and 18 partnerships in R&D)
Sales Force is the 1st cost item:
Re-allocation by region and by products (less expenses on traditionnal products but more on innovative ones)

Administrative and General charges:
Methodological following of these costs

Communication and Publicity:
By definition publicity is free and better for the company’s image
Ex’: Press articles on the last Sanofi’s innovation which will be able to cure a rare diseases.

In emerging market the main cost are:
Purchase of raw material
Energy consumption of the laboratories
Work force
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